Would an 80's/90's style arcade be profitable?

niketalker23

niketalker23

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I've had an itch lately to open up a retro styled arcade, complete with a jukebox full of Journey and Van Halen. My inspiration is Flynn's arcade from Tron (huge fan of the franchise). The only problem is, would it be profitable? I don't know how big it would be with this new generation of kids who will refuse to play anything with subpar graphics, and my generation might not have the time in their schedules to go to an arcade. Would a retro arcade/bar be better to target a more adult audience? What do you guys think?

Would you guys go to quarter machine arcade that had a full bar?
 
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Not trying to sound negative but every arcade I've seen go up within the last 8 years only lasted about 6 months , if that. I live a small town tho.
 
Unfortunately I'd have to agree with ROBPZEE612... arcade gaming is a thing of the past. It might bring back childhood memories and a nostalgic feeling for the older crowd that could warrant a visit once a while but it just isn't what it used to be. There was a well known arcade in Chinatown, NY that had most of the classics and was forced to close down. I was surprised it even lasted that long. They reopened recently but under new management and a "newer" generation of games that are just straight up terrible, similar to those in carnivals.
 
You are looking at an extremely small niche or target audience, but I can't think of too many options that are catering to that segment. It could be a hit if it were strategically located......in a small city with a college in close proximity. It could be a local hang out spot or a staple of that city/environment.


I would spend some time doing market research and possibly finding out if that is a potential profitable business.
 
myCHENNY said:
Unfortunately I'd have to agree with ROBPZEE612... arcade gaming is a thing of the past. It might bring back childhood memories and a nostalgic feeling for the older crowd that could warrant a visit once a while but it just isn't what it used to be. There was a well known arcade in Chinatown, NY that had most of the classics and was forced to close down. I was surprised it even lasted that long. They reopened recently but under new management and a "newer" generation of games that are just straight up terrible, similar to those in carnivals.
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Hmm, but what if it also had a full bar?
 
JesusShuttlesworth34 said:
You are looking at an extremely small niche or target audience, but I can't think of too many options that are catering to that segment. It could be a hit if it were strategically located......in a small city with a college in close proximity. It could be a local hang out spot or a staple of that city/environment.


I would spend some time doing market research and possibly finding out if that is a potential profitable business.
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Thanks for the input.
 
with all the retro trends coming back u might have a chance. if the hipsters catch on ull make money
 
It would definitely be profitable for people looking for a general hang out spot to just chill and maybe catch a bite or something, the games would add to the atmosphere . . . I say go for it, OP . . .
 
JesusShuttlesworth34 said:
You are looking at an extremely small niche or target audience, but I can't think of too many options that are catering to that segment. It could be a hit if it were strategically located......in a small city with a college in close proximity. It could be a local hang out spot or a staple of that city/environment.
I would spend some time doing market research and possibly finding out if that is a potential profitable business.
Click to expand...
i agree with that....

also, the games from that era are expensive...so i can imagine to get enough to make an arcade would cost a pretty penny...

pretty dope idea tho..especially for those of us that remember those days when the arcade was the hang out...
 
NikeTalker23 said:
Hmm, but what if it also had a full bar?
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Sounds like dave and busters.. and most of their money is probably made from food rather than the actual games IMO. Part of me thinks it could work in a small college town like someone said where you have consistent regulars who treat it as a hangout. Another part of me thinks your better off going the big city route but that comes with much greater expenses like rent but possibly more business... Me personally, I would love to see it happen but I could probably only see myself going once or twice a month at most.
 
Point blank, no. How much would you charge per game? $0.25? Think of the costs it would take to maintain plus electricity, and as mentioned, an extremely small niche market. Arcade cabinets aren't cheap, either. I honestly don't see you making any profit whatsoever.
 
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It can work, but you'll have to offer booze, which means you'll be spending a lot of money on keeping the cabinets looking nice too.

http://www.the-1up.com


edit: It helps if your city or town already has a tendency to wax nostalgic. I know I'd eat this sort of thing up, but I like old school bar environments and love going to this bowling alley that uses lanes from the 50s as its schtick.
 
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Two bars like that in Denver. 1up and 2up. I know 1up has long lines all the time especially in the summer time.
 
I've thought about this on countless occasions.
what I've seen is some people charge entry or weekly/monthly membership, but the games are free or a penny.

you can boost this by being a bar/cafe. but now you're going to have really cheap games since they're so expensive and you know you're not going to make a killing nowadays anyway.
also, I heard you can get away with "hyperspin"? arcades if you're not charging(technically) but I suggest you do this in smaller towns anyway.

so you'd really have to sell the atmosphere, more with liquor/food than games.
and rent on a big place is killer.
 
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